10-Q 1 vishayintertech_10q.htm QUARTERLY REPORT
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10-Q

(Mark One)

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended           April 2, 2022

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _______ to _______

Commission File Number 001-07416

Vishay Intertechnology, Inc.
(Exact name of registrant as specified in its charter)

Delaware
 
38-1686453
(State or Other Jurisdiction of Incorporation)
 
(I.R.S. Employer Identification Number)
     
63 Lancaster Avenue
Malvern, Pennsylvania 19355-2143
 
610-644-1300
(Address of Principal Executive Offices)
 
(Registrant’s Area Code and Telephone Number)

Securities registered pursuant to Section 12(b) of the Act:
       
 
Title of each class
Trading symbol
Name of exchange on which registered
 
 
Common stock, par value $0.10 per share
VSH
New York Stock Exchange LLC
 

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. ☒ Yes  ☐ No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (section 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files.)
Yes  ☐ No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company.  See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and "emerging growth company" in Rule 12b-2 of the Exchange Act.

 
Large Accelerated Filer 
Accelerated filer ☐
 
Non-accelerated filer ☐
Smaller reporting company
 
Emerging growth company
 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes  No

As of April 29, 2022 the registrant had 131,925,957 shares of its common stock (excluding treasury shares) and 12,097,148 shares of its Class B common stock outstanding.






















This page intentionally left blank.


































2


VISHAY INTERTECHNOLOGY, INC.
FORM 10-Q
April 2, 2022
CONTENTS

       
Page Number
   
         
     
         
     
         
     
         
     
         
     
         
     
         
     
         
   
         
   
         
   
         
   
         
   
         
   
         
   
         
   
         
   
         
   
         
   
         
     
3



PART I  - FINANCIAL INFORMATION

Item 1. Financial Statements

VISHAY INTERTECHNOLOGY, INC.
Consolidated Condensed Balance Sheets
(In thousands)

   
April 2, 2022
   
December 31, 2021
 
   
(Unaudited)
       
Assets
           
Current assets:
           
Cash and cash equivalents
 
$
789,248
   
$
774,108
 
Short-term investments
   
96,561
     
146,743
 
Accounts receivable, net
   
418,288
     
396,458
 
Inventories:
               
Finished goods
   
159,909
     
147,293
 
Work in process
   
251,722
     
226,496
 
Raw materials
   
191,256
     
162,711
 
Total inventories
   
602,887
     
536,500
 
                 
Prepaid expenses and other current assets
   
163,227
     
156,689
 
Total current assets
   
2,070,211
     
2,010,498
 
                 
Property and equipment, at cost:
               
Land
   
74,237
     
74,646
 
Buildings and improvements
   
642,097
     
639,879
 
Machinery and equipment
   
2,775,615
     
2,758,262
 
Construction in progress
   
129,268
     
145,828
 
Allowance for depreciation
   
(2,650,810
)
   
(2,639,136
)
Property and equipment, net
   
970,407
     
979,479
 
                 
Right of use assets
   
114,094
     
117,635
 
                 
Deferred income taxes
    93,497       95,037  
                 
Goodwill
   
165,032
     
165,269
 
                 
Other intangible assets, net
   
65,546
     
67,714
 
                 
Other assets
   
101,382
     
107,625
 
Total assets
 
$
3,580,169
   
$
3,543,257
 

Continues on following page.
4


VISHAY INTERTECHNOLOGY, INC.
Consolidated Condensed Balance Sheets (continued)
(In thousands)

   
April 2, 2022
   
December 31, 2021
 
   
(Unaudited)
       
Liabilities and equity
           
Current liabilities:
           
Trade accounts payable
 
$
235,755
   
$
254,049
 
Payroll and related expenses
   
156,012
     
162,694
 
Lease liabilities
   
23,080
     
23,392
 
Other accrued expenses
   
210,531
     
218,089
 
Income taxes
   
51,005
     
35,443
 
Total current liabilities
   
676,383
     
693,667
 
                 
Long-term debt less current portion
   
456,484
     
455,666
 
U.S. transition tax payable
   
110,681
     
110,681
 
Deferred income taxes
   
71,435
     
69,003
 
Long-term lease liabilities
   
96,272
     
99,987
 
Other liabilities
   
93,261
     
95,861
 
Accrued pension and other postretirement costs
   
259,531
     
271,672
 
Total liabilities
   
1,764,047
     
1,796,537
 
                 
Equity:
               
Vishay stockholders' equity
               
Common stock
   
13,290
     
13,271
 
Class B convertible common stock
   
1,210
     
1,210
 
Capital in excess of par value
   
1,349,552
     
1,347,830
 
Retained earnings
   
490,776
     
401,694
 
   Treasury stock (at cost)
    (9,873)       -  
Accumulated other comprehensive income (loss)
   
(32,177)
   
(20,252)
 
Total Vishay stockholders' equity
   
1,812,778
     
1,743,753
 
Noncontrolling interests
   
3,344
     
2,967
 
Total equity
   
1,816,122
     
1,746,720
 
Total liabilities and equity
 
$
3,580,169
   
$
3,543,257
 

See accompanying notes.
5


VISHAY INTERTECHNOLOGY, INC.
Consolidated Condensed Statements of Operations
(Unaudited - In thousands, except per share amounts)

   
Fiscal quarters ended
 
   
April 2, 2022
   
April 3, 2021
 
             
Net revenues
 
$
853,793
   
$
764,632
 
Costs of products sold
   
594,685
     
561,683
 
Gross profit
   
259,108
     
202,949
 
                 
Selling, general, and administrative expenses
   
112,855
     
105,685
 
Operating income
   
146,253
     
97,264
 
                 
Other income (expense):
               
Interest expense
   
(4,222
)
   
(4,376
)
Other
   
(5,751
)
   
(5,731
)
Total other income (expense)
   
(9,973
)
   
(10,107
)
                 
Income before taxes
   
136,280
     
87,157
 
                 
Income tax expense
   
32,330
     
15,514
 
                 
Net earnings
   
103,950
     
71,643
 
                 
Less: net earnings attributable to noncontrolling interests
   
377
     
208
 
                 
Net earnings attributable to Vishay stockholders
 
$
103,573
   
$
71,435
 
                 
Basic earnings per share attributable to Vishay stockholders
 
$
0.71
   
$
0.49
 
                 
Diluted earnings per share attributable to Vishay stockholders
 
$
0.71
   
$
0.49
 
                 
Weighted average shares outstanding - basic
   
145,053
     
144,968
 
                 
Weighted average shares outstanding - diluted
   
145,553
     
145,463
 
                 
Cash dividends per share
 
$
0.100
   
$
0.095
 

See accompanying notes.
6


VISHAY INTERTECHNOLOGY, INC.
Consolidated Statements of Comprehensive Income
(Unaudited - In thousands)

   
Fiscal quarters ended
 
   
April 2, 2022
   
April 3, 2021
 
             
Net earnings
 
$
103,950
   
$
71,643
 
                 
Other comprehensive income (loss), net of tax
               
                 
Pension and other  post-retirement actuarial items
   
1,559
     
1,864
 
                 
Foreign currency translation adjustment
   
(13,484
)
   
(26,949)
 
                 
Other comprehensive income (loss)
   
(11,925
)
   
(25,085)
 
                 
Comprehensive income
   
92,025
     
46,558
 
                 
Less: comprehensive income attributable to noncontrolling interests
   
377
     
208
 
                 
Comprehensive income attributable to Vishay stockholders
 
$
91,648
   
$
46,350
 

See accompanying notes.
7


VISHAY INTERTECHNOLOGY, INC.
Consolidated Condensed Statements of Cash Flows
(Unaudited - In thousands)

   
Three fiscal months ended
 
   
April 2, 2022
   
April 3, 2021
 
             
Operating activities
           
Net earnings
 
$
103,950
   
$
71,643
 
Adjustments to reconcile net earnings to net cash provided by operating activities:
               
Depreciation and amortization
   
40,650
     
42,146
 
(Gain) loss on disposal of property and equipment
   
(59
)
   
(177
)
Inventory write-offs for obsolescence
   
5,825
     
4,784
 
Deferred income taxes
   
2,347
     
901
 
Other
   
8,816
     
5,728
 
Net change in operating assets and liabilities
   
(127,944
)
   
(67,703
)
Net cash provided by operating activities
   
33,585
     
57,322
 
                 
Investing activities
               
Capital expenditures
   
(35,909
)
   
(28,527
)
Proceeds from sale of property and equipment
   
72
     
200
 
Purchase of short-term investments
   
(7,753
)
   
(12,853
)
Maturity of short-term investments
   
56,674
     
29,519
 
Other investing activities
   
(199
)
   
347
 
Net cash provided by (used in) investing activities
   
12,885
     
(11,314
)
                 
Financing activities
               
Repurchase of convertible debt instruments
   
-
     
(300
)
Dividends paid to common stockholders
   
(13,259
)
   
(12,608
)
Dividends paid to Class B common stockholders
   
(1,210
)
   
(1,149
)
Repurchase of common stock held in treasury
    (9,873 )     -
 
Cash withholding taxes paid when shares withheld for vested equity awards
   
(2,123
)
   
(1,963
)
Net cash used in financing activities
   
(26,465
)
   
(16,020
)
Effect of exchange rate changes on cash and cash equivalents
   
(4,865
)
   
(6,015
)
                 
Net increase in cash and cash equivalents
   
15,140
     
23,973
 
                 
Cash and cash equivalents at beginning of period
   
774,108
     
619,874
 
Cash and cash equivalents at end of period
 
$
789,248
   
$
643,847
 

See accompanying notes.
8


VISHAY INTERTECHNOLOGY, INC.
Consolidated Condensed Statements of Equity
(Unaudited - In thousands, except share and per share amounts)

   
Common Stock
   
Class B Convertible Common Stock
   
Capital in Excess of Par Value
   
Retained Earnings
    Treasury Stock
   
Accumulated Other Comprehensive Income (Loss)
   
Total Vishay Stockholders' Equity
   
Noncontrolling Interests
   
Total Equity
 
Balance at December 31, 2020
 
$
13,256
   
$
1,210
   
$
1,409,200
   
$
138,990
    $ -    
$
13,559
   
$
1,576,215
   
$
2,800
   
$
1,579,015
 
Cumulative effect of accounting change for adoption of ASU 2020-06
    -      
-
     
(66,078
)
    20,566       -      
-
     
(45,512
)
   
-
     
(45,512
)
Net earnings
    -       -       -       71,435       -
      -      
71,435
     
208
      71,643  
Other comprehensive income (loss)
    -
      -
      -       -       -      
(25,085
)
   
(25,085
)
   
-
     
(25,085
)
Issuance of stock and related tax withholdings for vested restricted stock units (149,722 shares)
   
15
      -       (1,978 )    
-
      -      
-
     
(1,963
)
   
-
     
(1,963
)
Dividends declared ($0.095 per share)
   
-
     
-

      20      
(13,777
)
    -      
-
     
(13,757
)
   
-
     
(13,757
)
Stock compensation expense
   
-
      -
      4,120      
-
      -      
-
     
4,120
     
-
     
4,120
 
Balance at April 3, 2021
 
$
13,271
   
$
1,210
   
$
1,345,284
   
$
217,214
    $ -    
$
(11,526
)
 
$
1,565,453
   
$
3,008
   
$
1,568,461
 
                                                                         
Balance at December 31, 2021
 
$
13,271
   
$
1,210
   
$
1,347,830
   
$
401,694
    $ -
   
$
(20,252
)
 
$
1,743,753
   
$
2,967
   
$
1,746,720
 
Net earnings
   
-
     
-
     
-
     
103,573
      -      
-
     
103,573
     
377
     
103,950
 
Other comprehensive income (loss)
   
-
     
-
     
-
     
-
      -      
(11,925
)
   
(11,925
)
   
-
     
(11,925
)
Issuance of stock and related tax withholdings for vested restricted stock units (189,731 shares)
   
19
     
-
     
(2,142
)
   
-
      -      
-
     
(2,123
)
   
-
     
(2,123
)
Dividends declared ($0.100 per share)
   
-
     
-
     
22
     
(14,491
)
    -      
-
     
(14,469
)
   
-
     
(14,469
)
Stock compensation expense
   
-
     
-
     
3,842
     
-
      -      
-
     
3,842
     
-
     
3,842
 
Repurchase of common stock held in treasury (513,227 shares)
    -       -       -       -       (9,873 )     -       (9,873 )     -       (9,873 )
Balance at April 2, 2022  
$
13,290
   
$
1,210
   
$
1,349,552
   
$
490,776
    $ (9,873 )  
$
(32,177
)
 
$
1,812,778
   
$
3,344
   
$
1,816,122
 

See accompanying notes.

9

NOTES TO THE CONSOLIDATED CONDENSED FINANCIAL STATEMENTS
(dollars in thousands, except per share amounts)
Note 1 – Basis of Presentation

The accompanying unaudited consolidated condensed financial statements of Vishay Intertechnology, Inc. (“Vishay” or the “Company”) have been prepared in accordance with the instructions to Form 10-Q and therefore do not include all information and footnotes necessary for presentation of financial position, results of operations, and cash flows required by accounting principles generally accepted in the United States (“GAAP”) for complete financial statements. The information furnished reflects all normal recurring adjustments which are, in the opinion of management, necessary for a fair summary of the financial position, results of operations, and cash flows for the interim periods presented.  The financial statements should be read in conjunction with the consolidated financial statements filed with the Company’s Annual Report on Form 10-K for the year ended December 31, 2021.  The results of operations for the three fiscal months ended April 2, 2022 are not necessarily indicative of the results to be expected for the full year.

The Company reports interim financial information for 13-week periods beginning on a Sunday and ending on a Saturday, except for the first fiscal quarter, which always begins on January 1, and the fourth fiscal quarter, which always ends on December 31.  The four fiscal quarters in 2022 end on April 2, 2022, July 2, 2022, October 1, 2022, and December 31, 2022, respectively.  The four fiscal quarters in 2021 ended on April 3, 2021, July 3, 2021, October 2, 2021, and December 31, 2021, respectively. 

Reclassifications

Certain prior period amounts have been reclassified to conform to the current financial statement presentation.

10

NOTES TO THE CONSOLIDATED CONDENSED FINANCIAL STATEMENTS
(dollars in thousands, except per share amounts)

Note 2 – Leases

The net right of use assets and lease liabilities recognized on the consolidated condensed balance sheets for the Company's operating leases were as follows:


 
April 2, 2022
   
December 31, 2021
 
Right of use assets
           
Operating Leases
           
Buildings and improvements
 
$
109,682
   
$
112,951
 
Machinery and equipment
   
4,412
     
4,684
 
Total
 
$
114,094
   
$
117,635
 
Current lease liabilities
               
Operating Leases
               
Buildings and improvements
 
$
20,655
   
$
20,851
 
Machinery and equipment
   
2,425
     
2,541
 
Total
 
$
23,080
   
$
23,392
 
Long-term lease liabilities
               
Operating Leases
               
Buildings and improvements
 
$
94,333
   
$
97,890
 
Machinery and equipment
   
1,939
     
2,097
 
Total
 
$
96,272
   
$
99,987
 
Total lease liabilities
 
$
119,352
   
$
123,379
 

Lease expense is classified in the statements of operations based on asset use.  Total lease cost recognized on the consolidated condensed statements of operations is as follows:


Fiscal quarters ended
 
 
April 2, 2022
 
April 3, 2021
 
Lease expense
       
Operating lease expense
 
$
6,452
   
$
6,152
 
Short-term lease expense
   
304
     
325
 
Variable lease expense
   
100
     
127
 
Total lease expense
 
$
6,856
   
$
6,604
 

The Company paid $6,332 and $6,161 for its operating leases in the three fiscal months ended April 2, 2022 and April 3, 2021, respectively, which are included in operating cash flows on the consolidated condensed statements of cash flows. The weighted-average remaining lease term for the Company's operating leases is 8.7 years and the weighted-average discount rate is 5.4% as of April 2, 2022.

The undiscounted future lease payments for the Company's operating lease liabilities are as follows:


 
April 2, 2022
 
2022 (excluding the three fiscal months ended April 2, 2022)
 
$
17,794
 
2023
   
22,072
 
2024
   
19,910
 
2025
   
17,388
 
2026
   
15,868
 
Thereafter
   
57,407
 

The undiscounted future lease payments presented in the table above include payments through the term of the lease, which may include periods beyond the noncancellable term. The difference between the total payments above and the lease liability balance is due to the discount rate used to calculate lease liabilities.

11

NOTES TO THE CONSOLIDATED CONDENSED FINANCIAL STATEMENTS
(dollars in thousands, except per share amounts)

Note 3 – Income Taxes

The provision for income taxes consists of provisions for federal, state, and foreign income taxes.  The effective tax rates for the periods ended April 2, 2022 and April 3, 2021 reflect the Company’s expected tax rate on reported income before income tax and tax adjustments. The Company operates in a global environment with significant operations in various jurisdictions outside the United States. Accordingly, the consolidated income tax rate is a composite rate reflecting the Company’s earnings and the applicable tax rates in the various jurisdictions where the Company operates. 

During the three fiscal months ended April 2, 2022, the liabilities for unrecognized tax benefits decreased by $3,047 on a net basis, primarily due to a payment and currency translation adjustments, partially offset by accruals for current year tax positions and interest.

Note 4 – Long-Term Debt

Long-term debt consists of the following:

 
April 2, 2022
   
December 31, 2021
 
             
Credit facility
 
$
-
   
$
-
 
Convertible senior notes, due 2025
   
465,344
     
465,344
 
Deferred financing costs
   
(8,860
)
   
(9,678
)
     
456,484
     
455,666
 
Less current portion
   
-
     
-
 
   
$
456,484
   
$
455,666
 

The following table summarizes some key facts and terms regarding the outstanding convertible senior notes due 2025 as of April 2, 2022:

 
Convertible
Senior Notes
Due 2025
 
Issuance date
 
June 12, 2018
 
Maturity date
 
June 15, 2025
 
Principal amount as of April 2, 2022
 
$
465,344
 
Cash coupon rate (per annum)
   
2.25
%
Nonconvertible debt borrowing rate at issuance (per annum)
   
5.50
%
Conversion rate effective March 16, 2022 (per $1 principal amount)
   
31.9749
 
Effective conversion price effective March 16, 2022 (per share)
 
$
31.27
 
130% of the current effective conversion price (per share)
 
$
40.65
 

Prior to December 15, 2024, the holders of the convertible senior notes due 2025 may convert their notes only under the following circumstances: (1) the sale price of Vishay common stock reaches 130% of the conversion price for a specified period; (2) the trading price of the notes falls below 98% of the product of the sale price of Vishay's common stock and the conversion rate for a specified period; or (3) upon the occurrence of specified corporate transactions.  The convertible senior notes due 2025 are not currently convertible.

Upon conversion of the convertible senior notes due 2025, Vishay will satisfy its conversion obligations by paying $1 cash per $1 principal amount of converted notes and settle any additional amounts due in common stock.

The quarterly cash dividend program of the Company results in adjustments to the conversion rate and effective conversion price for the convertible senior notes due 2025 effective as of the ex-dividend date of each cash dividend.  The conversion rate and effective conversion price for the convertible senior notes due 2025 is adjusted for quarterly cash dividends to the extent such dividends exceed $0.085 per share of common stock.


12

NOTES TO THE CONSOLIDATED CONDENSED FINANCIAL STATEMENTS
(dollars in thousands, except per share amounts)
Note 5 - Stockholders' Equity

On February 7, 2022, the Company's Board of Directors adopted a Stockholder Return Policy that will remain in effect until such time as the Board votes to amend or rescind the policy.  The Stockholder Return Policy calls for the Company to return a prescribed amount of cash flows on an annual basis. The Company intends to return such amounts directly, in the form of dividends, or indirectly, in the form of stock repurchases.

The following table summarizes activity pursuant to this policy:

   
Fiscal quarter ended
 
   
April 2, 2022
 
Dividends paid to stockholders
   $
14,469
 
Stock repurchases
   
9,873
 
Total
   $
24,342
 

The repurchased shares are being held as treasury stock. The Company records treasury stock at cost, inclusive of fees, commissions and other expenses, when outstanding common shares are repurchased.  As of December 31, 2021, no shares of common stock were held as treasury stock.  As of April 2, 2022, 513,227 shares of common stock are being held as treasury stock.

Note 6 – Revenue Recognition

Sales returns and allowances accrual activity is shown below:

   
Fiscal quarters ended
 
   
April 2, 2022
   
April 3, 2021
 
Beginning balance
 
$
39,759
   
$
39,629
 
Sales allowances
   
27,377
     
23,796
 
Credits issued
   
(27,726
)
   
(28,446
)
Foreign currency
   
(249
)
   
(530)
 
Ending balance
 
$
39,161
   
$
34,449
 

See disaggregated revenue information in Note 10.

Note 7 – Accumulated Other Comprehensive Income (Loss)

The cumulative balance of each component of other comprehensive income (loss) and the income tax effects allocated to each component are as follows:

 
Pension and
other post-
retirement
actuarial
items
   
Currency
translation
adjustment
   
Total
 
Balance at January 1, 2022
 
$
(58,908
)
 
$
38,656
   
$
(20,252
)
Other comprehensive income before reclassifications
   
-
     
(13,484
)
 
$
(13,484
)
Tax effect
   
-
     
-
   
$
-
 
Other comprehensive income before reclassifications, net of tax
   
-
     
(13,484
)
 
$
(13,484
)
Amounts reclassified out of AOCI
   
2,178
     
-
   
$
2,178
 
Tax effect
   
(619
)
   
-
   
$
(619
)
Amounts reclassified out of AOCI, net of tax
   
1,559
     
-
   
$
1,559
 
Net other comprehensive income
 
$
1,559
   
$
(13,484
)
 
$
(11,925
)
Balance at April 2, 2022
 
$
(57,349
)
 
$
25,172
   
$
(32,177
)

Reclassifications of pension and other post-retirement actuarial items out of AOCI are included in the computation of net periodic benefit cost.  See Note 8 for further information.
13

NOTES TO THE CONSOLIDATED CONDENSED FINANCIAL STATEMENTS
(dollars in thousands, except per share amounts)

Note 8 – Pensions and Other Postretirement Benefits

The Company maintains various retirement benefit plans. The service cost component of net periodic pension cost is classified in costs of products sold or selling, general, and administrative expenses on the consolidated condensed statements of operations based on the respective employee's function.  The other components of net periodic pension cost are classified as other expense on the consolidated condensed statements of operations.

Defined Benefit Pension Plans

The following table shows the components of the net periodic pension cost for the first fiscal quarters of 2022 and 2021 for the Company’s defined benefit pension plans:

 
Fiscal quarters ended
April 2, 2022
   
Fiscal quarters ended
April 3, 2021
 
   
U.S. Plans
   
Non-U.S.
Plans
   
U.S. Plans
   
Non-U.S.
Plans
 
                         
Net service cost
 
$
-
   
$
1,117
   
$
-
   
$
1,190
 
Interest cost
   
280
     
852
     
254
     
754
 
Expected return on plan assets
   
-
     
(460
)
   
-
     
(417
)
Amortization of prior service cost
   
36
     
56
     
36
     
51
 
Amortization of losses
   
427
     
1,271
     
447
     
1,884
 
Curtailment and settlement losses
   
-
     
279
     
-
     
199
 
Net periodic benefit cost
 
$
743
   
$
3,115
   
$
737
   
$
3,661
 


Other Postretirement Benefits

The following table shows the components of the net periodic benefit cost for the first fiscal quarters of 2022 and 2021 for the Company’s other postretirement benefit plans:

   
Fiscal quarters ended
April 2, 2022
   
Fiscal quarters ended
April 3, 2021
 
   
U.S. Plans
   
Non-U.S.
Plans
   
U.S. Plans
   
Non-U.S.
Plans
 
                         
Service cost
 
$
10
   
$
63
   
$
25
   
$
71
 
Interest cost
   
45
     
15
     
41
     
11
 
Amortization of losses (gains)
   
86
     
23
     
13
     
29
 
Net periodic benefit cost
 
$
141
   
$
101
   
$
79
   
$
111
 
14

NOTES TO THE CONSOLIDATED CONDENSED FINANCIAL STATEMENTS
(dollars in thousands, except per share amounts)
Note 9 – Stock-Based Compensation

The following table summarizes stock-based compensation expense recognized:

   
Fiscal quarters ended
 
   
April 2, 2022
   
April 3, 2021
 
             
Restricted stock units ("RSUs")
 
$
3,620
   
$
3,911
 
Phantom stock units
   
222
     
209
 
Total
 
$
3,842
   
$
4,120
 

The following table summarizes unrecognized compensation cost and the weighted average remaining amortization periods at April 2, 2022 (amortization periods in years):

 
Unrecognized
Compensation
Cost
   
Weighted
Average
Remaining
Amortization
Periods
 
             
Restricted stock units
 
$
5,943
     
1.0
 
Phantom stock units
   
-
     
n/a
 
Total
 
$
5,943
         



15

Restricted Stock Units

RSU activity under the Company's 2007 Stock Incentive Program (the "2007 Program") as of April 2, 2022 and changes during the three fiscal months then ended are presented below (number of RSUs in thousands):

 
Number of
RSUs
   
Weighted
Average
Grant-date
Fair Value per
Unit
 
Outstanding:
           
January 1, 2022
   
877
   
$
20.08
 
Granted
   
336
     
19.13
 
Vested*
   
(294
)
   
20.04
 
Cancelled or forfeited
   
-
     
-
 
Outstanding at April 2, 2022
   
919
   
$
19.75
 
                 
Expected to vest at April 2, 2022
   
905
         
* The number of RSUs vested includes shares that the Company withheld on behalf of employees to satisfy the statutory tax withholding requirements.

The number of performance-based RSUs that are scheduled to vest increases ratably based on the achievement of defined performance criteria between the established target and maximum levels.  RSUs with performance-based vesting criteria are expected to vest as follows (number of RSUs in thousands):

Vesting Date
 
Expected
to Vest
   
Not Expected
to Vest
   
Total
 
January 1, 2023
   
152
     
-
     
152
 
January 1, 2024
   
165
     
-
     
165
 
January 1, 2025
   
168
     
-
     
168
 

Phantom Stock Units

Phantom stock unit activity under the 2007 Program as of April 2, 2022 and changes during the three fiscal months then ended are presented below (number of phantom stock units in thousands):

 
Number of
units
   
Grant-date
Fair Value per
Unit
 
Outstanding:
           
January 1, 2022
   
212
       
Granted
   
10
   
$
22.20
 
Dividend equivalents issued
   
1
         
Outstanding at April 2, 2022
   
223
         
16

NOTES TO THE CONSOLIDATED CONDENSED FINANCIAL STATEMENTS
(dollars in thousands, except per share amounts)

Note 10 – Segment Information

The following tables set forth business segment information:

   
MOSFETs
   
Diodes
   
Optoelectronic
Components
   
Resistors
   
Inductors
   
Capacitors
   
Total
 
Fiscal quarter ended April 2, 2022:
                                         
Net revenues
 
$
172,674
   
$
182,334
   
$
81,016
   
$
207,032
   
$
82,777
   
$
127,960
   
$
853,793
 
                                                         
Segment operating income
 
$
48,524
   
$
40,426
   
$
28,159
   
$
58,143
   
$
22,199
   
$
27,400
   
$
224,851
 
                                                         
Fiscal quarter ended April 3, 2021:
                                                       
Net revenues
 
$
153,223
   
$
157,178
   
$
77,771
   
$
186,602
   
$
83,458
   
$
106,400
   
$
764,632
 
                                                         
Segment operating income
 
$
27,207
   
$
28,821
   
$
21,210
   
$
47,376
   
$
25,290
   
$
18,863
   
$
168,767
 

   
Fiscal quarters ended
 
   
April 2, 2022
   
April 3, 2021
 
Reconciliation:
           
Segment Operating Income
 
$
224,851
   
$
168,767
 
Unallocated Selling, General, and Administrative Expenses
   
(78,598
)
   
(71,503
)
Consolidated Operating Income
 
$
146,253
   
$
97,264
 
Unallocated Other Income (Expense)
   
(9,973
)
   
(10,107
)
Consolidated Income Before Taxes
 
$
136,280
   
$
87,157
 

17

NOTES TO THE CONSOLIDATED CONDENSED FINANCIAL STATEMENTS
(dollars in thousands, except per share amounts)

The Company has a broad line of products that it sells to OEMs, EMS companies, and independent distributors. The distribution of sales by customer type is shown below:

   
Fiscal quarters ended
 
   
April 2, 2022
   
April 3, 2021
 
Distributors
 
$
497,869
   
$
424,125
 
OEMs
   
297,429
     
294,637
 
EMS companies
   
58,495
     
45,870
 
Total Revenue
 
$
853,793
   
$
764,632
 

Net revenues were attributable to customers in the following regions:

   
Fiscal quarters ended
 
   
April 2, 2022
   
April 3, 2021
 
Asia
 
$
344,012
   
$
322,460
 
Europe
   
289,984
     
268,323
 
Americas
   
219,797
     
173,849
 
Total Revenue
 
$
853,793
   
$
764,632
 

The Company generates substantially all of its revenue from product sales to end customers in the industrial, automotive, telecommunications, computing, consumer products, power supplies, military and aerospace, and medical end markets.  Sales by end market are presented below:

   
Fiscal quarters ended
 
   
April 2, 2022
   
April 3, 2021
 
Industrial
 
$
337,369
   
$
270,801
 
Automotive
   
259,501
     
255,973
 
Telecommunications
   
31,013
     
24,902
 
Computing
   
67,931
     
59,899
 
Consumer Products
   
38,708
     
40,795
 
Power Supplies
   
40,282
     
35,246
 
Military and Aerospace
   
46,498
     
41,538
 
Medical
   
32,491
     
35,478
 
Total revenue
 
$
853,793
   
$
764,632
 

18

NOTES TO THE CONSOLIDATED CONDENSED FINANCIAL STATEMENTS
(dollars in thousands, except per share amounts)
Note 11 – Earnings Per Share

The following table sets forth the computation of basic and diluted earnings per share attributable to Vishay stockholders (shares in thousands):

   
Fiscal quarters ended
 
   
April 2, 2022
   
April 3, 2021
 
             
Numerator:
           
Net earnings attributable to Vishay stockholders
 
$
103,573
   
$
71,435
 
                 
Denominator:
               
Denominator for basic earnings per share:
               
Weighted average shares
   
144,832
     
144,760
 
Outstanding phantom stock units
   
221
     
208
 
Adjusted weighted average shares - basic
   
145,053
     
144,968
 
                 
Effect of dilutive securities:
               
Convertible debt instruments
   
-
     
9
 
Restricted stock units
   
500
     
486
 
Dilutive potential common shares
   
500
     
495
 
                 
Denominator for diluted earnings per share:
               
Adjusted weighted average shares - diluted